- Gathering your documents early saves you significant time in receiving a mortgage offer.
- The general documents are employment and income verification, proof and source of down payment, basic financial info, and property details.
- It’s much better to over-prepare than under-prepare!
Lenders ask for a lot of things, and if you’re missing even one thing you end up looking like a schmuck and leaving their branch empty-handed, only to have to come back another day. To avoid wasting your time, get all your documents together early so that you can fast-track your approval.
Below are a few things you’ll need to get a mortgage offer:
Employment and Income Verification
- Copy of your two most recent pay stubs
- Bank Statement showing evidence of recent pay deposit
- Last Year’s Tax Return and Notice of Assessment (NOA)
- Employment Verification Letter
- Previous employment (if at current employment for less than 2 years)
- Statements for any additional income sources (i.e. support payments, investment income, rental income, etc.)
Proof and Source of Down Payment
- Savings or investments statement from the last 90 days
- Sale of an existing property—a copy of the sale agreement
- Withdrawal from RRSP through the Home Buyer’s Plan
- Gift Letter (if the money is coming as a gift from friends or family)
Basic Financial Info
- A list of current assets and liabilities (debts)
- Bank account and transit number for payment withdrawals
- A copy of the real estate listing
- A copy of the accepted purchase and sale agreement
- The property’s full address, including the legal description and postal code
- Property tax estimates, condo fees and heating costs
- For rural properties—well and septic certificates
- Lawyer’s name, address, postal code, telephone and fax number
While some of these documents may be unnecessary if you’re just getting a pre-approval, it’s always better to be over-prepared than under-prepared. In addition, your lender may ask for these documents some time in the future, so it’s a good idea to keep them on hand until you’re finished with the home buying process.